So i made a solution up for myself. I just noticed last night that my G1 just like every one else is getting a good amount of flash memory taken up by the market. It really sucks because its making my phone go a lot slower. I had 23mb's of information on the G1 App market. that is a lot of mb especially when you first get the phone you only have 73mb's internal memory to play with. Now I read somewhere that it will somehow clear its self out. hasnt happened yet so i took matters into my own hands

Settings>SD Card & Phone Storage>Factory data Reset....

Now all of your contacts that are saves on the phone are synced with your gmail account. When you do a reset it will reset everything forcing you to sync your gmail account to your G1. Just know your gmail password before you decide to do a Factory Reset.

Now I Dont have all my apps anymore. But at least my phone is running nice and smooth.

If you check the App Market everyday and install every single cool app and just unistall it later you will have the same problem again. So just be causious when shopping for new apps.